SUMMARY OF THE WALL STREET JOURNAL

Summary of the Wall Street Journal articles

Why Canada can avoid Banking Crises and U.S Can´t

In contrast to U.S. Canada has not suffered banking crises since 1790.

This is because the federal government is highly centralized and controlled economic policy interests damped bankers against populist forces, known as liberal democracy.

This system differs from populist democracy where regulation is control of its own citizens.

The cause of the crisis is that the regulations are made to favor some, thus creating an imbalance in the system and why U.S. has collapsed several times

U.S.  Land Gets More Expensive

The value of land in the U.S. has increased 12% in 2012, for the first time since 2005.

The increase was caused by the demand for builders who want to build infrastructure.

For consumers, the higher cost of land, housing means more expensive, because the builders pass costs on to the consumer 100%.

After the economic crisis of land lost about 58% of its value so that while the value has grown not expected to reach levels before the crisis, although the lots available for construction are becoming harder to find, the increase in demand causes the price of land increases.